mr. Thomas assured his life for the sum of N300,000.00 for a period of 20 years. The premium payable being N2,200.00 monthly.due to loss of employment, thomas was not able to pay the premium in the last 3 months .
what is the term used for the amount payable to mr. Thomas if he chooses to discontinue with the contract
-
A.
premium return -
B.
reinstatement return -
C.
terminal claim -
D.
surrender value
Correct Answer: Option D
Explanation
‘Surrender Value’; It is the amount the policyholder will get from the life insurance company if he decides to exit the policy before maturity.